Kentucky License Law
In Kentucky, 'net listing' is an arrangement where the seller receives a fixed amount and the agent keeps the surplus. This arrangement:
AIs commonly used in Kentucky for rural properties
BCreates a conflict of interest and is generally disfavored or discouraged✓ Correct
CIs encouraged by KREC for complicated transactions
DIs required to be registered with KREC
Explanation
Net listings create an inherent conflict of interest because the agent benefits from a higher sale price at the seller's expense. They are generally disfavored, and in some states discouraged. In Kentucky, they are strongly discouraged.
Related Kentucky Kentucky License Law Questions
- In Kentucky, a sales associate who is moving to another state and wants to transfer their Kentucky license must:
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- Under KRS Chapter 324, a licensee may legally collect a commission from:
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- A Kentucky licensee who engages in 'net listing' arrangements should be aware that:
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